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New CareerBuilder and Emsi Analysis Finds College Degrees Are Not Keeping Up With Demand in Critical Areas
CareerBuilder's Find Your Calling website matches student personalities with options for careers and majors using comprehensive, easy-to-use, real-time labor market data for any occupation
PR Newswire
CHICAGO

CHICAGO, March 3, 2016 /PRNewswire/ -- Nearly two-thirds (63 percent) of employers reported that they are concerned about the growing skills gap in the U.S1. A new analysis of college degree completions vs. job demand from CareerBuilder and Emsi shows that the next generation of workers won't be able to fill the void.

According to a national Harris Poll survey of more than 2,300 employers, commissioned by CareerBuilder, half (49 percent) of employers have experienced a negative impact on their business due to extended job vacancies with 25 percent reporting a loss in revenue and 43 percent pointing to lower productivity1.

To exemplify the current scope and potential exacerbation of an already debilitating talent deficit, data experts at CareerBuilder and Emsi looked at a sample of college programs that aren't producing enough graduates to keep pace with labor market demand. While the programs highlighted in the study have grown at least 10 percent from 2009-2014 and had at least 10,000 completions in 20142, they're still undersupplying candidates for occupations that already see big gaps between the number of jobs posted and the number of hires companies make each month.

For example, 157,591 people graduated with degrees in Computer and Information Sciences in 2014, a number that increased 41 percent since 2009. While the growth is encouraging, it's not enough. On average, from Jan. 2015 to Jan. 2016, 689,685 computer and information technology jobs were posted each month in the U.S. However, the average number of hires was only 209,035 – leaving a gap of 480,650 positions.

While this is a critical issue in STEM-related fields (science, technology, engineering and math), it extends to other areas as well. The analysis shows notable gaps for Human Resources Management, Economics, Legal Assistant/Paralegal and Graphic Design among others. See the following chart for more details.

 

Program

2014 Postsecondary Completions

Growth in Completions Since 2009

% Growth in Completions Since 2009

Avg. Monthly Job Postings (Jan. 2015-Jan. 2016)

Avg. Monthly Hires (Jan. 2015-Jan. 2016)

Gap Between Postings and Hires

Projected Job Growth (2015-2020)

No. of Associated Jobs (2015)

Computer and Information Sciences

157,591

46,128

41%

689,685

209,035

480,650

8.6%

4,691,330

Registered Nursing, Nursing Administration, Nursing Research and Clinical Nursing

248,627

75,923

 

 

 

44%

346,061

103,177

242,884

9.0%

2,956,717

Pharmacy, Pharmaceutical Sciences, and Administration

18,287

4,448

32%

54,307

16,655

37,652

7.2%

402,295

Human Resources Management and Services

26,480

2,416

10%

86,903

65,167

21,736

5.2%

1,066,144

Electrical and Electronics Engineering

26,367

4,274

19%

29,224

10,265

18,959

3.0%

317,576

Mechanical Engineering

32,429

9,193

40%

26,032

9,819

16,213

3.1%

278,995

Biology, General

85,014

19,039

29%

19,122

5,142

13,980

6.8%

148,902

Health Information/Medical Records Technology/Technician

11,622

6,071

109%

21,503

7,599

13,904

9.6%

195,120

Legal Assistant/Paralegal

16,309

2,265

16%

21,313

10,361

10,952

8.0%

276,741

Economics

40,103

5,691

17%

36,185

25,602

10,583

14.4%

519,427

Civil Engineering

19,690

4,247

28%

15,436

12,379

3,057

9.0%

275,057

Graphic Design

11,819

3,179

37%

14,886

12,536

2,350

2.2%

240,083

 

The analysis utilized Emsi's extensive labor market database, which pulls from more than 100 national and state employment resources.

"The skills gap can have a paralyzing effect on businesses, resulting in greater economic implications," said Matt Ferguson, CEO of CareerBuilder and co-author of The Talent Equation. "In addition to reskilling and upskilling our existing workforce, we need to step up efforts to inform younger generations about high-growth, high-earning occupations where jobs far outnumber available candidates."

Skills Gap is an Information Gap

Nearly half (47 percent) of employers believe the skills gap is an information gap — people are not aware of the jobs that are available and growing1.

Looking at it from the student's perspective, nearly one in four high school seniors (24 percent) said they have no idea what career they want to pursue. Of high school seniors who have pinpointed a desired profession, 23 percent said they made their career choice based on something they saw on TV or in a movie2.

Late last year CareerBuilder worked with Emsi to launch a powerful website called FindYourCalling.com that puts data science and helpful insights behind choosing careers. Visitors to the site start with a simple, interactive personality test for careers. Based on those answers, the student is presented with top careers that match their interests, which he or she can explore by diving further into associated career options. Find Your Calling also offers details about each specific occupation, including average salary and market demand, as well as an overview of the required education, including associated majors and schools that specialize in the field.

[1] Harris Poll survey, commissioned by CareerBuilder, of 2,338 hiring and human resource managers across industries and company sizes between November 4 and December 1, 2015

[2] CareerBuilder's Q2 2015 nationwide survey of 210 high school seniors conducted by Harris Poll, June 2015

About Emsi

Emsi (Economic Modeling Specialists Intl.) is a CareerBuilder company that provides industry-leading employment data and economic analysis via web tools and custom reports. Emsi turns vast amounts of labor market data into easy-to-use information that helps organizations understand the connection between economies, people, and work, and ultimately build a better workforce. Emsi's software services - Analyst and Career Coach - are used by thousands of professionals in higher education, workforce and economic development, and the private sector. Emsi has also produced more than 1,400 comprehensive impact analyses for colleges and universities in the U.S. and internationally. For more information, visit www.economicmodeling.com.

About CareerBuilder®

As the global leader in human capital solutions, CareerBuilder specializes in cutting-edge HR software as a service to help companies with every step of the recruitment process from acquire to hire. CareerBuilder works with top employers across industries, providing job distribution, sourcing, workflow, CRM, data and analytics in one pre-hire platform. It also operates leading job sites around the world. Owned by TEGNA Inc. (NYSE:TGNA), Tribune Media (NYSE:TRCO) and The McClatchy Company (NYSE:MNI), CareerBuilder and its subsidiaries operate in the United States, Europe, South America, Canada and Asia. For more information, visit www.careerbuilder.com.

Media Contact
Ladan Nikravan
312.698.0538 x70538
ladan.nikravan@careerbuilder.com
http://www.twitter.com/CareerBuilderPR

 

SOURCE CareerBuilder